Or just looking for encouragement and confirmation that TA lags...hell everything is lagging unless it can tell the future, and nothing can do that.
Anyone use order flow analysis software?
- Thread starter TSLexi
- Start date
Leading signals doesn't help you if you don't know how much it is leading and what more it can tell of future prices. Ie. there's a BIG difference in usability for a signal leading 1 ms vs 1 month. For leading signals, you need some way to "box in price" during some period or interval, or else they're pretty worhless as a trading tool. Knowing that price might spike for a couple of seconds, may not be very actionable to most traders.
About so-called "lagging indicators", these are usually just aggregates and "smoothers". If they lag price, then you know price itself is guaranteed to lead them, making for a "reverse leading" signal of what has effectively taken place, rather than something that sometimes "work", othertimes not.
The problem with price though, is that it can always reverse at any time, so whatever you use, you need to be able to properly manage the trade, which is realistically more important than trying to predict or even follow price.
Checkout Rick Wyatt he is a CL Orderflow trader: https://www.youtube.com/channel/UCjnGYImRZSM6mYkW1--htGA
What about decreasing uncertainty ?
If one can do that. It's enough.
1% away from 1/N is a wonderful edge.
But first we have to define uncertainty.
Without defining it, we can't decrease it.
And to decrease it means to find signals ...
In other words. Information.